6th August 2026 - 2 min read
Renting a home in Malaysia could soon come with clearer rules as the government finalises the Residential Tenancy Bill, a long-awaited law that aims to make disputes between tenants and landlords quicker, easier and more affordable to resolve.
The Housing and Local Government Ministry (KPKT) said the Bill is now in its final stages. Deputy Housing and Local Government Minister Datuk Aiman Athirah Sabu said it will clearly define the rights and responsibilities of both tenants and landlords to create a fairer rental market.
The Bill has been in development for several years and would introduce Malaysia’s first dedicated legal framework for residential tenancy if passed.
Malaysia does not currently have a dedicated law covering most residential tenancy agreements. If a dispute arises over issues such as security deposits, unpaid rent, repairs or damage to the property, both sides generally have to rely on the tenancy agreement and existing contract law, which can be costly and time-consuming.
The proposed law is intended to protect both tenants and landlords by setting out each party’s rights and responsibilities when disputes arise.
Aiman Athirah also said the government does not intend to introduce nationwide rent controls, saying rental rates should continue to reflect local market conditions instead.
Instead, the government plans to improve housing affordability by expanding affordable rental housing, strengthening tenant protections and making it easier for more people to buy their first home.
The government has also expanded the Housing Credit Guarantee Scheme (SJKP), raising its financing guarantee ceiling to RM40 billion.
The scheme provides financing guarantees of up to RM500,000 for first-time homebuyers, including gig workers and others without a fixed income. As of 30 April, RM27.4 billion in guarantees had been approved across 113,222 applications, with more than half going to recipients aged 30 or younger.
While the Bill is now in its final stages, the government has not announced when it will be tabled in Parliament or when the new rules could take effect.
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Christina writes about personal finance with an eye for making the complicated feel straightforward. She is drawn to the everyday money decisions people face and genuinely enjoys finding the clearest way to explain them. Between articles, she is probably napping, on a hiking trail, or terrorising her sister’s cats.
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